The first KIOTI tractor was introduced to the US in 1986. Produced by Daedong Industrial Company in South Korea and distributed in the US by Daedong-USA, KIOTI was a newcomer to a local market crowded with local brands. However, that didn’t deter Daedong-USA whose parent company had become a global leader in mechanized farming equipment by developing effective strategies that addressed regional market challenges. To help Daedong-USA bring flexible financing solutions to their loyal base of dealers and customers, Daedong-USA teamed up with DLL in 2001. Since then, the two have been offering flexible financing solutions to the Daedong-USA dealer network and end-user customers.
Today, KIOTI’s US product offerings consist of over six tractor series, including the newly expanded CS, CK10 and PX Series, three MECHRON Utility Vehicles and an array of auxiliary products. Additionally, the company is a three-time EDA Gold Level Status award recipient for exceptionally high dealer ratings. “We are proud of the legacy we’ve built and will continue to listen to our customers. We focus on adapting our technology and equipment to deliver the best machine-owning and buying experience,” says Peter Dong Kyun Kim, president and CEO of Daedong-USA, Inc. KIOTI Tractor Division.
Growing the business together
The initial partnership was focused on offering competitive and flexible retail financing programs for KIOTI tractors, UTVs and implements. In 2016, the DLL and Daedong-USA partnership expanded when DLL created an Asset-Based Whole Goods Lending (ABL) facility, providing exclusive inventory finance solutions to Daedong-USA’s dealers.
“DLL has helped Daedong-USA overcome challenges by providing the ABL facility, giving us the opportunity to offer a wholesale financing solution in-house. This solution has elicited high praise from our dealers and will be a crucial part of our dealer recruitment and business growth,” adds Yung Ki Park, Daedong-USA CFO.
Reinvesting in the future
According to Park, Daedong-USA’s partnership with DLL has given the company an important advantage: reinvestment. “We can reinvest the interest back into our customers and our dealers by offering more attractive retail financing programs, helping us achieve a record high in new business volume for Q1 of 2017,” he says.
“As we achieve steady and sustainable growth, we find it essential to align with strategic partnerships that can support our vision,” says Anna Kim, COO of Daedong-USA, Inc. KIOTI Tractor Division.
While Daedong-USA reinvests in their customers and dealers, DLL makes strides in supporting customers and dealers as well. “We are constantly refining our processes to make them faster and easier. We offer dealers automatic credit decisions, online access to documents and more, all assisting Daedong-USA dealers to close deals faster,” adds Javier Pelaez, DLL Director of Program Management.
